Property and casualty insurance

The state forecasts eroding coastlines will endanger $18 billion of existing homes and commercial buildings in the coming decades.

Even before January's fires in Los Angeles, change-of-address data shows residential moves based on fire risks and insurance availability.

The state's regulator said the insurer must show it will cover more homeowners, and be more transparent. Consumer advocates want more concessions, saying the insurance crisis can't be solved on the backs of homeowners.

Recent wildfire updates include the Federal Housing Authority's waiving of quality-control reviews and the upheaval of the state's commercial real estate space.

Slow repair cycle times, widespread premium increases and the volume of catastrophic events all contribute to dissatisfaction, according to the U.S. Property Claims Satisfaction Study from J.D. Power.

Digital Insurance spoke with Jonathan Collura, president and CEO of Specialty Risk RE, about how reinsurers could stabilize the home insurance market in areas affected by natural disasters.

Between the estimated damages in Los Angeles and rising home insurance prices, policyholders are left wondering how the market will fare in 2025.

The insurance market going into the Jan. 7 catastrophe already had been hit with non-renewals and cancellations -- and an overburdened state-supported insurance plan. A Morningstar analyst said the state insurance commissioner's reform strategy could have turned it around but now faces new obstacles.

The National Flood Insurance Program has been kept alive with short-term authorizations since 2017. Flood risk data and increased use could strengthen it.

The California FAIR Plan Association, already vulnerable financially, will likely need an assessment of insurers or policyholders as a rescue measure, according to experts.